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I am a seller. How do I send a FULL refund to a buyer whose item arrived broken

I would like a step by step.  I tried to go through eBay Hub, refunds but the shipping costs were excluded.   I want to send the buyer a full refund for what he paid because the item arrived broken.   I do not want the item returned.  It is broken and cannot be fixed.  I told the buyer to not send it back. 

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